#NZDUSD @ 0.63186 holds lower ground after reversing from six-month high., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• NZD/USD holds lower ground after reversing from six-month high.
• Bearish chart formation, impending bear cross on the MACD challenge recovery moves.
• 200-DMA, monthly support line restrict immediate downside, bulls need validation from 0.6480.

The pair currently trades last at 0.63186.

The previous day high was 0.6477 while the previous day low was 0.6327. The daily 38.2% Fib levels comes at 0.642, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6384, expected to provide resistance.

NZD/USD retreats from an intraday high of 0.6323 as it fades the corrective bounce after a two-day downtrend amid Tuesday’s Asian session.

Given the looming bearish cross on the MACD indicator, coupled with the last week’s failure to stay beyond the August month’s high near 0.6470, the Kiwi pair is likely to remain bearish.

That said, a one-month-old ascending support line near 0.6280 and the 50% Fibonacci retracement level of the pair’s April-October downside, close to 0.6275, could restrict short-term declines of the NZD/USD pair.

However, the 200-DMA and an upward-sloping trend line from October’s low, respectively near 0.6225 and 0.6080, appear tough nuts to crack for the NZD/USD bears afterward.

On the flip side, the 61.8% Fibonacci retracement level of 0.6452, also known as the golden ratio, challenges the intraday pair buyers ahead of the double tops marked near 0.6470-75.

It’s worth noting that highs marked in May and June, around 0.6570-75, act as the last defense of the NZD/USD bears.

Overall, NZD/USD remains on the bear’s radar despite the recent hesitance to break the 0.6300 threshold.

Trend: Further downside expected

Technical Levels: Supports and Resistances

NZDUSD currently trading at 0.6317 at the time of writing. Pair opened at 0.6405 and is trading with a change of -1.37% % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 0.6154, 50 SMA 0.5886, 100 SMA @ 0.6027 and 200 SMA @ 0.629.

The previous day high was 0.6477 while the previous day low was 0.6327. The daily 38.2% Fib levels comes at 0.642, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.6384, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.6329, 0.6254, 0.618
• Pivot resistance is noted at 0.6479, 0.6553, 0.6628

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